There was a time when only one parent needed to work, and people
could retire after working at the same job for thirty years. Nowadays,
many people live from paycheck to paycheck, and still can't save
for the future. The average North American earns just over $20,
000 per year - and even for people earning twice that, an expected
bill of $1000 can be a real hardship.
Trading your hours for dollars is a difficult path towards financial
freedom, and few people have the capitol it takes to start a business
or invest enough to produce regular income.
Creating even a small business requires a substantial
investment of capital:
- the average franchise costs $85, 000
- and time = 60-80 hours a week
To earn $5000 a month from real estate, stocks or bank CD's can
require as much as $500, 000 to $750, 000 in principal investment.
More people have less net worth at age 65 than they did at age 18
(Dewey's Economic Tables). Social Security Administration statistics
show that of those who retire at age 65, 98% have insufficient funds
and must continue to work or depend on others.
The situation may seem grim - but there is a solution,
a way of making residual income based on a concept called leverage.
Residual income is money that continues to be generated long after
the initial effort to create it. Most people can only work about
8 hours a day, but with leverage you can also get paid for the efforts
of other people.
For the average person with few resources, the solution is found
in a unique industry - network marketing. In network marketing,
you may work only 10 hours a week, but through leverage and residual
income, you may get paid for literally hundreds of hours of effort.